USANA Health Sciences Inc (USNA)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 497,202 | 434,472 | 395,124 | 441,650 | 351,712 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $497,202K)
= 0.00
The debt-to-capital ratio of USANA Health Sciences Inc has consistently been 0.00 for the past five years, indicating that the company has not utilized debt as a source of financing relative to its capital structure during this period. This implies that the company has relied primarily on equity financing to support its operations and growth. A debt-to-capital ratio of 0.00 suggests a conservative financial strategy with low financial risk, as the absence of debt in the capital structure means the company is not exposed to potential default or interest rate risks associated with debt obligations. However, it is important to note that the absence of debt may also limit the company's ability to leverage growth opportunities that could potentially enhance shareholder value. As such, while a low debt-to-capital ratio signifies financial stability and security, management should consider the optimal mix of debt and equity financing to support sustainable growth and value creation in the long run.